The World War II had far reaching consequences that were long term and felt by almost all nations in the world. This war that ended in 1945 left millions of people dead across continents, with the majority of those mostly affected being civilians, caused collateral damage on properties and led to separation of families as people were displaced and became homeless. One of the most outstanding impacts that was felt in a long term period was on the economy. The war caused a global depression on the economy had collapsed as most countries had spent their resources during the war to buy war equipment and training the militaries("Economic Consequences of War on the U.S. Economy" ).
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Another effect of the second world war was that the United States emerged as the world's super power, with immense resources and international control. It was therefore at the forefront of developing international policies that would help revive the global economy that had collapsed. Countries around the world, and especially developing countries were urged to put in efforts and adopt global strategies designed by developed countries to jumpstart their economies as a way of collaborating in the global economic revival process.
The United States Agency for International Development (USAID) points out striking similarities in post war countries that must be addressed in order to regain the lost economic status of global nations. These include but not limited to: lack of security, high rates of unemployment, unstable infrastructure, a weak host-government administrative capacity, existence of multi-donor and aid organizations and discrimination against the women (USAID).
Approaches and policies implemented by governments to jumpstart their economies
To achieve a global economic revival, various approaches and policies were implemented and adopted by governments. To begin with was the formation of global institutions like the International Monetary Fund (IMF) and the World Bank , formed following the Bretton Woods conference held in 1944, with delegate representatives from about 44 countries across the globe to help in developing global strategies that would help reinstate the international economy to normalcy. IMF was responsible for evaluating and monitoring fixed currency rates across the globe in line with the US dollar, to prevent intercurrences discrepancies among countries that would cause other disagreements after the war. The World Bank on the other end provided loans to countries for the reconstruction of their infrastructure (M02_COHN5836_06_SE_C02.QXD ).
Generation of employment and especially among the youthful populations, which form majority of citizens in most countries, is another approach governments are using to jumpstart the global economy. Most developing countries included clauses in their national constitutions to ensure equitable distribution of natural resources and employment opportunities to their citizens, as a move to curb global poverty through creating access to natural resources and assets to help citizens sustain their livelihoods.
The Non State actors have also played a major role in jumpstarting the world's economies. Most countries have strived to empower the participation of private stakeholders in national economic development affairs. This has been achieved through business leaders and multinational organizations uniting to hold international forums that have served as viable platforms to discuss the global economic agenda. Through such forums, economic strategies have been developed and ideas sold to policy makers in government through advocacy initiatives for adoption and implementation.
Others have adopted feasible economic policies which aim to increase equity and economical growth. These include the decisions to emphasize focus on local investors in these countries and providing grants to local groups to initiate income generating start ups to improve their living status. Governments have also adopted policies to strengthen major institutions of economic governance, national budget planning and execution functions and also strengthening their central banks (USAID).
Lessons learned from the evolution in international political economy (IPE)
There have been lessons from the international political economies. To begin with, countries should work closely with international organizations such as the IMF and the World Bank that have been leading in global research and providing finding on means to improve the global economic status, based on each country's monitoring and evaluation of economic challenges. International organizations have played a lead role in lending loans and developing economic programs in developing countries as one of the ways to provide assistance to these countries to jumpstart their economies. This is a good initiative. However, these international organizations should incorporate their development programs to those of the local governments, and encourage local ownership of such economical oriented programs to promote sustainability of such approaches. Nations have also become very keen in signing international trade agreements and watching over their exports and imports. Trade embargoes have been imposed where necessary for local protection.